The Competition Commission of India (CCI) has approved the merger by absorption of Covidshield Technologies into Biocon Biologics. This will be done in consideration for acquisition of approximately 15 per cent equity shareholding of Biocon Biologics by Serum Institute Life Sciences
The Proposed Combination involves merger by absorption of Covidshield Technologies Pvt Ltd (CTPL), a wholly-owned subsidiary of the Serum Institute Life Sciences Pvt Ltd (Acquirer) into Biocon Biologics Limited (Target) pursuant to a scheme of merger in consideration of which the acquirer will acquire approximately 15 per cent equity shareholding on a fully diluted basis in the target, an official release said.
The acquirer is a subsidiary of Serum Institute of India Pvt Ltd and was established as a company for further development and commercialisation of vaccines and therapies against Covid-19. It also had plans to further develop vaccines against other infectious diseases. At present, the acquirer is in the process of setting up its own manufacturing facility.
CTPL is a wholly-owned subsidiary of the acquirer, which will be merged into the target pursuant to the proposed transaction. It was incorporated to market, sell and distribute vaccines, drugs and other pharmaceutical products.
The target is a subsidiary of Biocon Ltd, and offers treatment for chronic and acute diseases such as diabetes, oncology, nephrology, cancer, and autoimmune diseases. The target also has research and development centres in Bengaluru and Chennai. It has manufacturing facilities in Bengaluru and Malaysia for monoclonal antibodies, recombinant proteins and insulins, the release added.
SMW Ispat deal
The CCI has also approved acquisition of a majority stake in SMW Ispat Pvt Ltd (SMW Ispat) by OFB Tech Pvt Ltd (OFB Tech).
OFB Tech, a private limited company, is engaged in the business of wholesale trading of bulk raw materials such as steel, non-ferrous metals, industrial chemicals and petroleum derivatives, agri-commodities to facilitate transactions between businesses through its online or offline channels.
SMW Ispat, a private limited company, is engaged inmanufacture of products such as TMT steel bars and steel billets, the release added.